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Native Advertising Spending to Reach $21 Billion by 2018

According to new research from BI Intelligence native ad spending will hit $7.9 billion in 2015. That may sound like a lot of money, but that spending is expected to almost triple by 2018, to $21 billion.

A big part of this boom will be driven by social native ads, which is telling. For instance, $7.5 billion of this year's native ad spending is expected to go toward social ads. By 2018, that will be $11.9 billion. Part of this rise is spurred by social networks cracking down on blatantly promotional posts in newsfeeds, and forcing businesses to put more money into paid content on the platforms.

In addition, BI Intelligence says, "Native ads perform better than traditional display. This is particularly true on mobile. Desktop native click-through rates (CTRs) averaged a respectable 0.15%, while native-mobile ads had CTRs over 1%, according to recent data from Polar Media Group and Celtra, respectively."